World Bulletin / News Desk
Supportive fiscal and macroprudential policies have mitigated the downside risks on economic activity, the governor of Turkish Central Bank said Thursday.
Giving a presentation to investors at the International Monetary Fund and World Bank Meetings in Washington D.C, Murat Cetinkaya stressed that currency volatility slowed shortly after the tightening monetary policies, according to a statement on the bank’s website.
"Lagged impact of cost push factors will keep inflation at elevated levels in the near term," Cetinkaya said, adding that a tight stance in monetary policy would be maintained until inflation outlook displayed a significant improvement.
Cetinkaya also noted that inflation was expected to peak in April before gradually coming down in the forthcoming period.
According to the Turkish Statistical Institute (TurkStat), Turkey's annual inflation rate rose 11.29 percent year-on-year in March, from 10.13 percent in February.
The dollar/Turkish lira exchange rate, which saw a historic hike -- around 3.94 liras -- in mid-January, stood at 3.6450 at Thursday’s close.
The rate was 3.02 on average last year while $1 traded at 2.71 liras in 2015.
“Recent macroeconomic developments indicate the resilience of the Turkish economy,” he said. “Contribution of exports to economic growth will increase throughout 2017.”
According to TurkStat, Turkey's GDP, which grew 2.9 percent last year, was around 2.59 trillion Turkish liras ($856.8 billion) in 2016, compared with 2.34 trillion liras ($861.5 billion) the previous year.
BIST 100 index goes up 0.21 pct, US dollar/Turkish lira stands at 3.83 while euro/Turkish lira rate rises to 4.51
Consumer Prices Index yearly rate at 3.1 percent in November, Office for National Statistics says
International Peace Research Institute says sales by Turkish companies rose in 2016, growing 27.6 pct
Economists predict current account deficit ahead of Monday's expected announcement
Economists predict growth of 9.2 pct for the third quarter of 2017 in Turkey
BIST 100 index up 0.35 pct while US dollar/Turkish lira and euro/Turkish lira rates stand at 3.87 and 4.55, respectively
Industrial output in October increases by 7.3 pct year-on-year, official data show
It struck a new high of $15,242.99 around 1030 GMT, according to Bloomberg News.
The IMF report comes a day after regulators in Beijing drafted new rules to strengthen bank funding, and follows a number of alerts about a ballooning debt problem in the world's number-two economy.
It touched a new high of $14,485 before slipping back to $14,398 in Asian afternoon trade, according to Bloomberg News.
BIST 100 index starts day up 0.64 percent; USD/TRY rate falls to around 3.86
BIST 100 index drops 0.20 pct to open at 103,350.58 pts; U.S. dollar/Turkish lira exchange rate goes up to 3.94
November's annual rate up from 11.90 percent in October, according to official data
Investors’ attention to be dominated by November inflation statistics
Purchasing Managers' Index hits 52.9 in November, signalling overall improvement in business conditions